201516 S1 AUDIT I Final Exam Review2.pptxVIP

Acct 4010Auditing 1;Date, Time and Venue;Examination Format;Coverage by Chapter 6, 7, 8, 9, 13, 14 and 16 Objectives of conducting an audit of financial statements Auditor’s responsibilities and management assertions for determining the audit objectives. Transaction-related, balance-related, and presentation and disclosure-related audit objectives Identify and apply the 8 types of audit evidence. Discuss why adequate audit planning is important. Specify the characteristics that determine the persuasiveness of evidence. The purpose of the audit documentation. How to make client acceptance decisions. Consider the factors of understanding client’s business and industry. Explain the meaning of and perform the analytical procedures. (Note that the financial ratio formula will not be provided for reference) Elaborate the 5 types of audit tests / audit procedures and its relationship to the 8 types of audit evidence for each type of tests. Define materiality and explain the factors affecting the preliminary judgment about materiality. Define risk in auditing and discuss the relationship of risks to audit evidence. Describe the audit risk model and its components. Consider the factors that affect the assessment of inherent risk. Explain the accounts receivable confirmation and identify the types of confirmation. Discuss the follow-up procedures / steps if there is no response for a confirmation. ** Students should have a throughout understanding of the concepts and theories covered in this course, not just the above-mentioned topics. ;Objective of Conducting an Audit of Financial Statements;;Audit Objectives – balance, transaction, presentation disclosures;;Relationships Among Evidence Decisions and Persuasiveness;7-10;7-11;Purpose of audit documentation – Q.7.15;Reasons for Planning;Benefits of adequate planning(Ref: ISA 300);Benefits of adequate planning(Ref: ISA 300);Client Acceptance and Continuance;Acceptance and continuance of client(Ref: ISA 220);8-18;What